You have undoubtedly heard echoes of Warren Buffet, the investor best known in the world and the only student ever to have won an 'A +' to the American College of Columbia University. His mentor, Benjamin Graham, meanwhile is relatively well known, however, it is he who will be the core of this journey through his book 'The Intelligent Investor'.
Born Benjamin Grossbaum, May 9, 1894 in London, Benjamin Graham emigrated to the United States of America, when he was just one year old. Following the dramatic death of his parents, Benjamin endured a childhood marked mainly by lack of economic punishment. Fortunately, already 20 years old, he graduated from departments of English, Mathematics and Philosophy. His biography includes, among others, two bestselling books: 'The Intelligent Investor' (The Intelligent Investor) and 'Security Analysis' (Safety Analysis).
The Intelligent Investor was published in 1949 and deals specifically with the active investor and the investor's liabilities. According to Benjamin, the active investor has a lot more time and a multitude of interests. As a supplement, the investor is able to identify the best market opportunities. On the passive investor, investing carefully and make purchases over the long term. Although this book was concocted a century ago, it contains the recipes are still used now.
With 'The Intelligent Investor', Benjamin Graham describes a lesson that any investor should have in mind. This is the 'margin of safety'. According to this precept, you should only buy stocks that are really devalued. By operating in this way, you will have a wider margin of maneuver and thus error. Also, the author asks you not to trust too much information of economic markets. To better interpret his idea, 'The Intelligent Investor' puts you in a situation where you meet a dubbed 'Mr Market' (or rather Mr. Market). Following the small scenario, you find that you need to evaluate your investments yourself, and not through the market.
Born Benjamin Grossbaum, May 9, 1894 in London, Benjamin Graham emigrated to the United States of America, when he was just one year old. Following the dramatic death of his parents, Benjamin endured a childhood marked mainly by lack of economic punishment. Fortunately, already 20 years old, he graduated from departments of English, Mathematics and Philosophy. His biography includes, among others, two bestselling books: 'The Intelligent Investor' (The Intelligent Investor) and 'Security Analysis' (Safety Analysis).
The Intelligent Investor was published in 1949 and deals specifically with the active investor and the investor's liabilities. According to Benjamin, the active investor has a lot more time and a multitude of interests. As a supplement, the investor is able to identify the best market opportunities. On the passive investor, investing carefully and make purchases over the long term. Although this book was concocted a century ago, it contains the recipes are still used now.
With 'The Intelligent Investor', Benjamin Graham describes a lesson that any investor should have in mind. This is the 'margin of safety'. According to this precept, you should only buy stocks that are really devalued. By operating in this way, you will have a wider margin of maneuver and thus error. Also, the author asks you not to trust too much information of economic markets. To better interpret his idea, 'The Intelligent Investor' puts you in a situation where you meet a dubbed 'Mr Market' (or rather Mr. Market). Following the small scenario, you find that you need to evaluate your investments yourself, and not through the market.
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